(Translation)

November 21, 2019 Dear Sirs and Madams, Name of Company: Shiseido Company, Limited Name of Representative: Masahiko Uotani President and CEO (Representative Director) (Code No. 4911; The First Section of the Stock Exchange) Contact: Harumoto Kitagawa Vice President Investor Relations Department (Tel: +81 3 3572 5111)

Notice of Company Split with a Consolidated Subsidiary (Simple Absorption-type Split)

It is hereby notified that today, at the meeting of the Board of Directors, Shiseido Company, Limited (hereinafter, the “Company”) determined to take over part of the business related to the ELIXIR and ANESSA brands (hereinafter, “the business”) from Shiseido Company, Limited (hereinafter, “Shiseido Japan”), a wholly owned subsidiary of the Company, through a company split (simple absorption-type split, hereinafter, “absorption-type split”) effective January 1, 2020. Since this is a simple absorption-type split (short-form absorption-type split for Shiseido Japan) carried out between the Company and its wholly owned subsidiary, part of the information is omitted from this announcement.

1. Purpose of the absorption-type split: Driven by its mission, “BEAUTY INNOVATIONS FOR A BETTER WORLD,” the Shiseido Group aims to remain vital for the next 100 years and beyond. In January 2020, we will transfer the brand holder functions* of both ELIXIR and ANESSA brands from Shiseido Japan to the Company in order to further accelerate the growth of the brands in the overseas markets, such as the Asia Pacific, the Americas and the EMEA regions, thus strengthening our global brand portfolio. *Global marketing strategy planning, product development, communication creative development, and brand management functions

2. Main points of the absorption-type split: (1) Schedule Resolution of the Board of Directors November 21, 2019 Conclusion of the Agreement November 25, 2019 Date of Effectuation January 1, 2020 (Note) For the Company, this is a simple absorption-type company split as stipulated in Article 784 Paragraph 2 of the Companies Act. Therefore, the Company will not convene a general meeting of shareholders to seek approval of the absorption-type split agreement.

1

(2) Method This absorption-type split involves the Company taking over part of the business from Shiseido Japan.

(3) Allotment of shares Since the absorption-type split is carried out between the Company and its wholly owned subsidiary, none of the Company’s shares will be allotted in conjunction with the split, nor will any equivalent value be paid.

(4) Handling of stock acquisition rights and bonds with stock acquisition rights Not applicable.

(5) Capital increase or decrease There will be no capital increase or decrease.

(6) Rights and obligations to be transferred to the successor company The Company will take over assets, liabilities and contractual statuses needed to execute the business, as well as all rights and obligations that accompany such.

(7) Outlook of performing obligations The Company determines that there is no problem as to whether Shiseido Japan can perform its obligations after the absorption-type split.

3. Overview of the companies involved in the absorption-type split: Successor Company Splitting Company (Company) (Shiseido Japan) Name Shiseido Company, Limited Shiseido Japan Company, Limited 5-5, 7-chome, Chuo-ku, 5-5, Ginza 7-chome, Chuo-ku, Location Tokyo Tokyo Masahiko Uotani, Representative’s Shigekazu Sugiyama, Representative Director, Name and Position Representative Director, President President and CEO Research, development, Planning and Sale of and Main Business Activities manufacture, and sale of other products cosmetics and other products Capital 64,506 million yen 100 million yen Date of Establishment June 24, 1927 December 1, 1927 Number of Shares Issued 400,000,000 8,000,000 Settlement Term December 31 December 31

2

Successor Company Splitting Company (Company) (Shiseido Japan) The Master Trust Bank of Japan, Ltd. (Trust Account): 11.86% Japan Trustee Services Bank, Ltd. (Trust Account): 5.94% BNYM TREATY DTT 15: 3.10% Mizuho Trust & Banking Co., Ltd., re-trusted to Trust & Custody Services Bank, Ltd. Employees Pension Trust for Mizuho Bank: Major Shareholders 2.50% and Their Shareholding Japan Trustee Services Bank, Ltd. Ratio (except Treasury Shiseido Company, Limited: 100% (Trust Account7): 1.96% Stock) Japan Trustee Services Bank, Ltd. (As of June 30, 2019) (Trust Account 5): 1.95% ML PRO SEGREGATION ACCOUNT: 1.77% THE BANK OF NEW YORK 134104: 1.69% SSBTC CLIENT OMNIBUS ACCOUNT: 1.59% JP MORGAN CHASE BANK 385151: 1.52% Financial position for the previous fiscal year (ending December 31, 2018) (Millions of yen unless otherwise stated) Successor Company Splitting Company (Company) (Shiseido Japan) (Consolidation) Net Assets 352,688 54,159 Total Assets 674,102 206,893 Net Assets per Share (Yen) 880.70 2,895.42

4. Overview of the business to split: (1) Details of the business Brand holder functions of the ELIXIR and ANESSA brands

(2) Operating performance of the business Not applicable

3

(3) Assets and liabilities of the business to split and their value (as of September 30, 2019) (Millions of yen) Assets Liabilities Item Book value Item Book value Current Assets 108 Current Liabilities 63 Fixed Assets 67 Long-term Liabilities 105 Total 175 Total 168 (Note) Calculated based on the balance sheet as of September 30, 2019. The amounts actually transferred will be adjusted, taking into consideration the increases and decreases in the amounts listed above that will arise by the date of effectuation.

5. Overview of the companies after the absorption-type split: After the absorption-type split, the name, location, representative’s name and position, main business activities, capital, and settlement term of the Company will remain unchanged.

6. Future outlook: This is an absorption-type company split with the Company’s wholly owned subsidiary as the splitting company. We believe that the split will have only minor effects on our consolidated financial results for the fiscal year ending December 2019.

-End of News Release-

4